Tag: altria

  • FDA’s Pouch Fast-Track Scheme Stalling Over Youth Worries

    FDA’s Pouch Fast-Track Scheme Stalling Over Youth Worries

    A fast-track review program at the U.S. Food and Drug Administration aimed at accelerating authorizations for nicotine pouch products has stalled, as agency scientists weigh concerns about youth uptake and risks to non-users against potential harm-reduction benefits for smokers, according to sources cited by Reuters. Reuters said applications tied to pouch brands from Philip Morris International (Zyn) and British American Tobacco (Velo) remain under review despite expectations that decisions would be made by the end of 2025 under the pilot scheme. The FDA has already authorized six products under Altria Group’s on! brand, but reviewers are said to be taking a more cautious stance on other applications where evidence of net public-health benefit is viewed as less clear-cut.

    While FDA data shows pouch use among middle- and high-school students remains relatively low, it has been rising, prompting heightened scrutiny. Tobacco companies argue the pilot program is critical for restoring legal market competition amid a surge of unregulated products, while public-health advocates warn that rapid authorizations could fuel new addiction trends. The FDA said decisions continue to be guided by science and statutory standards rather than external pressure.

  • FDA Releases Raw NYTS Data Without Comment

    FDA Releases Raw NYTS Data Without Comment

    Last week, the U.S. Food and Drug Administration released the raw data from the 2025 National Youth Tobacco Survey (NYTS), an annual, school-based survey that collects data on tobacco use among students in grades 6 through 12 across the country. Unlike previous years, the FDA released the data without comment, leaving industry members to interpret it independently.

    The survey tracks students’ tobacco behaviors, attitudes, and exposure to pro- and anti-tobacco messaging, providing nationally representative data. First conducted in 1999, it has guided youth tobacco policy and was jointly run by the U.S. Food and Drug Administration and Centers for Disease Control and Prevention since 2012, before moving fully under FDA oversight in 2025. 

    “Youth use of tobacco and nicotine has been the FDA’s sole focus in its policy and decision making for so many years, with adult education programs centered on the risk continuum of these products seemingly still far off,” said Laura Leigh Oyler, VP of Regulatory Affairs at Nicokick.com. “It’s been a big question throughout the industry as to why they’ve chosen to release this data with no fanfare, and with no guidance on how to interpret it. The FDA has essentially left the industry and other stakeholders to analyze and determine the use rates on their own.”

    Altria Client Services released a “high-level” summary of the data, finding overall tobacco usage by middle and high school students declined for the third straight year, dropping to 7.5%, the lowest rate since the study became annual in 2011, and down from the all-time high of 23.3% in 2019.

    Cigarette usage remained steady at 1.4%, while all other categories dropped from 2024, with e-cigarettes going from 5.9% to 5.2%, pouches from 1.8% to 1.7%, smokeless tobacco going from 1.2% to 0.6%, and heated tobacco products going from 0.8% to 0.7%.

    “With the continued low youth use rates, we think this is something worth celebrating,” Oyler said. “The data shows that targeted public‑health interventions, combined with thoughtful regulation like raising the legal age for nicotine purchases, can make a meaningful difference.”

    “The law is clear: tobacco and nicotine products are strictly for adults 21 and older,” said Matthew T. Sheaff, director of U.S. regulatory communications for Philip Morris International. “At PMI U.S., we are committed to guarding against underage access to our products, while continuing to provide adults 21 and older with better alternatives to smoking and traditional tobacco.

    “For example, we direct our marketing to adult nicotine consumers and do not pay social media influencers to endorse our products in the U.S. This is a shared responsibility—regulators, policymakers, retailers, and manufacturers all have an important role to play.”

    With the news generally positive in terms of youth usage, Oyler suggested emphasis be given to adults 55 and older, whose smoking rates have remained mostly steady, dropping from 18.7% in 2016 to 16.7% in 2023.

    “If anything, this data raises questions less about youth access and more about what we can do to educate adults on the differences between nicotine and tobacco products, and how they can reduce their risk,” Oyler said. “This is the population most at risk of smoking-related disease. This is the population with the most to gain from moving away from cigarettes. And this is the population that has been historically underserved by cessation efforts and innovation.

    “To drive the next major improvement in public health, we must accelerate support for adults who smoke and ensure that they have access to better alternatives, and ultimately, better outcomes.”

  • Court Certifies Juul Direct Purchaser Class in Altria Antitrust Case

    Court Certifies Juul Direct Purchaser Class in Altria Antitrust Case

    A U.S. federal court certified a class of direct purchasers of Juul Labs, Inc. products in California, allowing claims against Altria Group, Inc. over its 2018 $12.8 billion investment for a 35% stake in Juul, according to Law 360. Judge William H. Orrick cited “common, predominant questions” and a strong inference of class-wide impact, finding class resolution preferable to individual suits, while purchasers may opt out. Plaintiffs allege the investment led Altria to exit the e-cigarette market, reduce product variety, and raise prices.

    Law 360 said the direct purchaser class covers those buying Juul products from October 5, 2018, to the present. Judge Orrick rejected arguments that separate contracts and pricing arrangements make named purchasers atypical, noting claims are typical across the class and representatives are adequately motivated. An imperfect understanding of class membership does not undermine adequacy so long as representatives understand the claims and responsibilities.

    Indirect purchaser and reseller classes were also certified, though plaintiffs from Arkansas, South Carolina, Tennessee, and Virginia were excluded due to state law restrictions. The indirect purchaser class covers Juul pod purchases for personal use from October 25, 2018, to March 29, 2024, and the indirect reseller class covers purchases for resale from December 1, 2018, to March 31, 2025. The FTC had previously challenged Altria’s Juul stake but dropped its case in 2023 after the company fully unwound its investment.

  • Altria Declares $1.06 Quarterly Dividend

    Altria Declares $1.06 Quarterly Dividend

    Altria Group, Inc. today (Feb. 26) announced that its Board of Directors declared a regular quarterly dividend of $1.06 per share, payable on April 30, to shareholders of record as of March 25. The ex-dividend date is March 25.

  • Altria Moving Forward with Smoke-Free Products

    Altria Moving Forward with Smoke-Free Products

    Altria Group, Inc. reaffirmed its 2026 full-year guidance at the Consumer Analyst Group of New York Conference on February 18, projecting adjusted diluted EPS of $5.56 to $5.72, representing growth of 2.5% to 5.5% from a 2025 base of $5.42. CEO Billy Gifford and CFO Sal Mancuso told investors earnings growth is expected to be weighted toward the second half of the year, driven by a progressive increase in cigarette import and export activity, continued pricing power in the combustibles segment, and capital allocation including share repurchases. The company also emphasized its strategic pivot toward smoke-free products, including its on! nicotine pouch portfolio, positioning reduced-risk categories as a key long-term growth driver as cigarette volumes continue to decline.

    “Long term, it’s important to compete in e-vapor with flavored products that meet evolving consumer preferences,” Gifford said. “We are working on a pipeline of products to drive to that future. The proliferation of illicit disposable products, slow pace of FDA authorizations, and the intellectual property landscape remain significant headwinds. We intend to maintain a measured approach to our investments in e-vapor, until the regulatory framework is functioning as intended and enforcement actions meaningfully address the illicit market.”

  • Altria to Present at Consumer Analyst Group of NY Conference

    Altria to Present at Consumer Analyst Group of NY Conference

    Altria Group announced it will webcast a business presentation at the annual Consumer Analyst Group of New York conference in Orlando on February 18 at 1 p.m. ET. The presentation will feature CEO Billy Gifford and CFO Sal Mancuso and will be listen-only, with pre-event registration required. An archived version will be available on Altria’s website.

  • Altria Seeks Boost from Double Duty Drawback

    Altria Seeks Boost from Double Duty Drawback

    Altria Group said it expects profits to get a lift in the second half of the year by taking advantage of a U.S. tax rebate tied to higher cigarette imports and exports, even after narrowly missing fourth-quarter 2025 profit estimates. Despite forecasting full-year 2026 earnings above analysts’ expectations, Altria’s shares fell about 2.8% following the update.

    The boost is expected to come from the so-called “double duty drawback,” a provision that allows tobacco companies to reclaim federal excise taxes paid on domestically sold cigarettes when they export similar products. According to Reuters, while rivals such as British American Tobacco have long benefited from this mechanism, Altria historically could not because it sells cigarettes only in the U.S. The company is now expanding exports through partnerships and contract manufacturing deals with foreign firms, including South Korea’s KT&G.

    Altria executives said using the rebate is necessary to remain competitive as cigarette sales continue to decline. The company has been investing in alternative products, such as its On! nicotine pouches, though competition has intensified.

  • Altria Revenue Down 3.1%, Forecasts Growth Amid Smoke-Free Push

    Altria Revenue Down 3.1%, Forecasts Growth Amid Smoke-Free Push

    Altria Group reported 2025 adjusted diluted EPS of $5.42, up 4.4% year over year, as the company highlighted momentum in its smoke-free portfolio and $8 billion in total shareholder returns through dividends and share repurchases. Full-year net revenues declined 3.1% to $23.3 billion, while revenues net of excise taxes fell 1.5% to $20.1 billion. In the fourth quarter, Altria repurchased $288 million in stock and paid $1.8 billion in dividends. The company also noted recent FDA marketing authorizations for additional on! PLUS nicotine pouch variants and continued progress under its multi-year Optimize & Accelerate cost-savings initiative.

    Altria expects 2026 adjusted diluted EPS in a range of $5.56 to $5.72, representing projected growth of 2.5% to 5.5%. Guidance assumes continued investment in smoke-free products, limited enforcement impact from illicit e-vapor products, and that NJOY ACE will not return to the market in 2026. The company reaffirmed its long-term strategy of building an FDA-authorized smoke-free portfolio while maintaining leadership in traditional tobacco, targeting mid-single-digit earnings and dividend growth through 2028.

  • Altria to Host Q4, FY25 Webcast January 29

    Altria to Host Q4, FY25 Webcast January 29

    Altria Group, Inc. will host a live audio webcast on January 29 at 9 a.m. EST to discuss its 2025 fourth-quarter and full-year business results. Altria will issue a press release containing its business results approximately two hours prior. The webcast can be accessed at altria.com.

    During the webcast, CEO Billy Gifford and CFO Sal Mancuso will discuss the company’s results and answer questions from the investment community and news media.

    The webcast will be in a listen-only mode. Pre-event registration is necessary; directions are posted at www.altria.com/webcasts. An archived copy of the webcast will be available on altria.com.

  • Altria Pushes to End Juul’s ITC Patent Investigation

    Altria Pushes to End Juul’s ITC Patent Investigation

    NJOY and Altria Group are asking a federal judge in Virginia to immediately halt a U.S. International Trade Commission investigation triggered by Juul Labs’ nicotine-salt patent claims, arguing the ITC lacks constitutional authority to hear the case. In a reply filed Tuesday (January 6) in the U.S. District Court for the Eastern District of Virginia, the companies urged the court to grant summary judgment and permanently enjoin the ITC proceeding rather than allow it to continue while constitutional challenges are litigated.

    The filing argues the investigation violates the Appointments Clause, improperly insulates ITC administrative law judges through double for-cause removal protections, and infringes Article III limits, citing the Supreme Court’s decision in SEC v. Jarkesy. Altria and NJOY contend they are suffering irreparable harm by being subjected to an allegedly unconstitutional process, noting the ITC has scheduled an evidentiary hearing for April 22, 2026.